Since reaching a peak near $116,381 on October 27, the price of bitcoin has been under significant pressure. It subsequently declined to a low of $80,533 on November 21.

Following this low, the price began to recover, rising to $89,222 during Monday’s trading session and recently approaching that level again at $89,156. A sustained move above this point could pave the way for further upward momentum.

From a technical perspective, bitcoin’s price moved back above its falling 100-hour moving average during Sunday’s trading. Since then, it has generally used this moving average as a support level, despite some minor breaches. Meanwhile, the 200-hour moving average has acted as a resistance level.

In the current hourly trading session, bitcoin has finally broken above the 200-hour moving average, which stood at $87,691. This breakout has encouraged buyers to push the price higher.

The price is now trading above Monday’s high, reaching a new intraday peak of $89,698. The question for traders is whether buyers can maintain this momentum. The next key target on the upside is the 38.2% retracement of the decline from the October high, located at $94,229.

Original Source: Greg Michalowski of investinglive.com